MDH Case study

This case study discusses about history of MDH, king of Masala, in India. It is a SWOT analysis of Mahashiyan Di HAtti

1. Mahashian Di Hatti Pvt Ltd.

2. MDH Spices Parent Company Mahashian Di Hatti Category Food processing & products Sector Food & Beverages Tagline Asli Masale Sach Sach MDH USP Unqiue traditional blends of spices STP Segment All users of spices Target Group Users of traditional spices Positioning Traditional spices of India

3. 1919 , Sialkot (Pakistan) Mahashay Chuni Lal Spice business ‘ Deggi Mirch Wale’

4. Life history of Sh . Dharampal Gulati b orn on 27 March, 1923 in Sialkot. drop out of school in 1933, post 4 th sold mirrors, soap, cloth and hardware. joined parental business in 1937 ‘ Mahashian Di Hatti ’

5. c ame to India post- partition stayed in Amritsar refugee camp moved to Delhi

6. Journey from Tonga rider to a business tycoon

7. Re- launched MDH, 1948 b ought khokha (9x14 sq.m ) in Karol Bagh , Delhi Moved to Khari Baoli,1953 Roopak Stores, 1954

8. Gulati expanded the business by purchasing land in Kirti Nagar and setting up his first spice manufacturing unit in 1959 .

9. A range of 62 products available in over 150 different packages. Production capacity: 30 tonnes of packaged spices a day . 5 manufacturing plants Distribution network of over 1000 Stockist and over 4 Lac retail dealers in India and abroad. Exports to 100+ countries MDH is valued at Rs 300 crore , 80% stocks are owned by Mahashay Ji . Highest paid CEO, 21 crore India's second largest spice producer with a 12% market share. https :// youtu.be/OF6hM4nh5fo

10. MDH  had posted a 15% jump in revenues to Rs 924 crore with a 24%  increase  in net  profit  at Rs 213 crore Revenue Increase ₹924 crore (2016) Operating income |₹]]2000Crore(2020) Net income Increase ₹420 crore (2020)

11. SWOT analysis of MDH

12. S trenghts First mover advantage Leadership Strong Market Presence Quality Affordability

13. Advertisement In 1984, MDH launched its first TV ad. https:// youtu.be/FdBbfHGMoWM Tag line,” Asli masale sach sach ” made a huge brand recall.

14. Variety of products

15. Good Brand Image Mahashay Chuni Lal Charitable Trust - maintains trust amongst its loyal customer base. The trust operates a 250-bed hospital, a mobile hospital for slums, and four schools in New Delhi Various social organizations can get need-based grants from the trust Sandesh - focusing on traditional family values of India.

16. Weakness Low Penetration In South India Brand Ambassador Poor presence in continental food category Adulteration

17. Opportunities Quick Cooking: Semi processed food One minute noodles, gulab jamun mixes, upma mixes Organic Masala powder

18. Threats Competition Increasing cost of raw material Intervention of Govt. in import and export of spices

19. Future Planning Introducing continental spice mixes Sprinkler packaging Quick food Mixes Production of wet blends (garlic paste) Seasonal promotion ( D iwali)

20. Takshu Jagga B.Sc MFT-3